Timeshare Industry Applauds Law Enforcement for Cracking Down on
Fraudulent Timeshare Schemes

June 22, 2016 – WASHINGTON,
D.C. – The American
Resort Development Association (ARDA) and ARDA Resort Owners’ Coalition (ARDA-ROC)
applaud federal prosecutors for the final sentencing of a New Jersey woman
convicted of participating in a $3 million timeshare mortgage fraud scheme. The sentencing – 6 years in prison – sends a strong
signal that fraudulent schemes will not be tolerated and will be prosecuted to
the fullest extent of the law.

Ashley Lacerda of Egg Harbor Township, N.J., was convicted in
2013 on conspiracy, mail fraud and wire fraud counts. She was part of a ring of scammers at Vacation
Ownership Group who swindled customers by pretending to represent banks that
could settle their loans and get their money back, according to the U.S.
attorney’s office. Lacerda, who was the vice president and chief operating officer, sent fraudulent contracts
to customers. The customers, or timeshare
owners, were told that the firm would pay off the mortgages on their behalf
after receiving large sums of money for the service – a service that never happened. More than a
dozen victims testified during the trial that they lost tens of thousands of
dollars in the scheme.

“This conviction demonstrates the power the industry and law
enforcement have over fraudulent activity when working together as one,” said Robert
Clements, ARDA Vice President of Regulatory Affairs. “Our member companies, timeshare owners, law
enforcement, the industry, and various federal and state agencies are all
working together to stop fraud by enforcing action across the board,” continued
Clements.

In addition to ARDA’s advocacy efforts that support stricter
laws, enforcement measures and tougher penalties on offenders, ARDA created a
Joint Investigative / Enforcement Taskforce last fall to coordinate efforts to
minimize fraud in the secondary market.

“A top priority for our industry and owners, and
for law enforcement and other agencies, is to protect consumers from dishonest
individuals or companies trying to take advantage of them,” said ARDA-ROC
Chairman Ken McKelvey. “This verdict sends a strong signal to criminals that
fraud and deceptive activities will not be tolerated by our industry and it
tells consumers that we take the actions of these individuals very seriously.”

“At Wyndham Vacation
Ownership (WVO), we are committed to protecting our owners and the integrity of
our industry at large, and we work tirelessly to protect our owners from
dishonest individuals and companies who are trying to take advantage of them,”
said Jorge de la Osa, executive vice president and general counsel at WVO. “Through
our partnership with ARDA and our owners’ support of ARDA-ROC, we will continue
to support consumer protection legislation and inform our owners of any scams
that may put them at risk. We will not tolerate scam companies that cause harm
to our owners, and we will continue to take an aggressive legal approach to
bring fraudulent companies and individuals, such as Adam and Ashley Lacerda, to
justice.”

ARDA continues to pursue and
support appropriate timeshare resale and transfer legislation in an effort to
protect owners against fraudulent timeshare schemes. For more information about
the timeshare secondary market including resales, visit the ARDA-ROC Timeshare
Resale Resource Center at www.arda-roc.org/resales.

About ARDA

The American Resort
Development Association (ARDA) is the Washington D.C.-based professional
association representing the vacation ownership and resort development
industries. Established in 1969, ARDA today has almost 1,000 members ranging
from privately held firms to publicly traded companies and international
corporations with expertise in shared ownership interests in leisure real
estate. The membership also includes timeshare owner associations (HOAs),
resort management companies, and owners through the ARDA Resort Owners
Coalition (ARDA-ROC). For more information, visit www.arda.org or ARDA’s consumer website at
www.VacationBetter.org.

About ARDA-ROC

The ARDA Resort Owners’ Coalition (ARDA-ROC) is a non-profit entity endorsed
by the American Resort Development Association and funded by individual
timeshare owner’s voluntary contributions, dedicated to preserving, protecting,
and enhancing vacation ownership. ARDA-ROC is an alliance of owners,
developers, and managers who are committed to advocating for local, state, and
federal policies that enable the vacation ownership industry to thrive. For
more information, visit http://www.ardaroc.org.

Copyright 2014. American Resort Development Assoc. All rights reserved.